Review of Group’s Results for the Quarter Ended 31 December 2016

The group achieved revenue of RM55.11 million for the quarter ended 31 December 2016
as compared to RM38.37 million reported in the corresponding quarter last year which
represents an increase of 44%. The higher revenue was contributed from the newly
acquired subsidiary as disclosed in Note A9 and business development efforts through
increase in sales volume from certain existing customers and new customers.
The Group has reported a significant increase in profit before taxation of RM7.76 million
for the current period from RM2.72 million in the corresponding period last year. The
substantial growth in profit before taxation was mainly due to higher revenue recorded and
effective cost management.

CUTLOST... the recent share price drop provides a good opportunity to collect at lower price...

aim for the end of 2017... you wont regret, trust me...

guys... total full year dividend is 5 sen + 8 sen.. which is 13sen (not 11sen)..
at RM1.80 price, the dividend yield is 7.22%... where to find?!!!

Somemore net cash company with consistent and stable revenue + profit...

I am in....

look at the debt of Airasia...as long as cash flow is still healthy and have free cash flow... what is the issue? need to settle all debts in one day or one quarter?

and certain level of debt is good for expansion... like i mentioned earlier on, if their net profit margin is higher than their cost of financing (loans/debts)... it is still worth to borrow money to expand...

use ur brain a bit la..

Evergreen is still very profitable but if you insist want to compare with the superb year of 2015.. that is a joke... just look at FLBHD, 2015 was also superb with huge forex gain... how was their result in 2016? (good also but can't match 2015)...

and another reason why 2015 was superb is bcoz when the USD "first" rose up a lot, they have not revised down the average selling price (in USD) to give discount to customers... then later customers asked for discount due to high USD (Evergreen mentioned this before) coz customer knows exporters like Evergreen & FLBHD will get more MYR in return...


so in 2016, ASP (average selling price) in USD has dropped...

but now back in 2017.. USD is strong again so we can expect the results will be better than 2016... that is quite obvious....

investors are not stupid.. they will know the value of evergreen....

their expansion will also yield more profit in 2017 onwards...

sissy coward, i have explained thousand times that their net debt/equity is very very low and their balance sheet is still very healthy...
stop manipulating ur words...
dun understand english or financials? i guess both.. feel sad for your parents..

sxckperformer.. stop talking non-sense...

ur statement of "Evergreen must settle all short-term debt in Q4 2016" has been proven to be a joke... read their Q4 report.. did they need to settle all short -term loans?

short -term loans are meant to be settled within 12 months (not in the last quarter).. that means it is a live thing (loan amount can change from time to time)...

pls la.. from this statement alone we can already tell that you know nothing about financials and just keep talking cxck...

investors know by themselves whether Evergreen is worth investing or not...

no use for me or Raider to influence them..

what we did was to provide real info (not like you) and then let them decide on their own...

so... i will still die die hold at least until RM2.50 and then monitor the situation again (given some discount to my TP).

as what i mentioned earlier.. the acquisition of DOSB and the remaining 25% of Polyplas proved to be a successful move for GESHEN... you can see that both revenue and net profit has increased significantly compared to Q3 & Q4 2015... even if you compare with Q3 2016, the revenue and net profit has shown some slight improvement and the earnings are quite sustainable...

if u like a simplistic way of using PE valuation, assume 7-8sen EPS a quarter, it will be 28sen to 32sen EPS for a full year... and ppl like PE of 10, so i will do the same...

the target price will be around RM2.80 to RM3.20...

u can also do EV/EBIT and other valuation methods to determine the intrinsic value of share too... up to you...

tksw now sure has accumulated a lot of flbhd shares.. haha

my assumptions were correct.. they indeed outperformed.. nice...

i agree with IIlodlim.. 60sen sounds more reachable as this company is quite low profile even though very profitable and stable in their business.. in fact they are a growing company... i bought it when it was around 31 sen.. still holding and not wanting to sell at current price.. haha

haha... hahaha.... hahahahaha.... hor seh liao.. paper gain now 320K....i am laughing all the way to the bank really...

u think we are like u short-term speculator?

study fundamentals la pls... go back to ur kindergarten and beg ur teacher to teach u again...

i am still very optimistic with Evergreen's performance for 2017 & 2018..

Hold.. and if share price drops more to be attractive, i will buy more...

as i mentioned earlier, prospect is still very bright for 2017... even for the latest Q4 result, it has improved marginally compared to Q3 result...

f off la sxckperformer.. dun act like sifu coz u r just a kindergarten level sissy..

read this:

Evergreen Fibreboard

Expansion Plans Intact

Management reiterates its 2017 strategy expansion to scale up its
particleboard and RTA furniture capacity. The bottleneck at Evergreen’s
Palembang plant is expected to be resolved soon with a new road access
leading to its factory by 2H17. In addition to the favourable USD/MYR, we
see earnings breaching the MYR100m threshold this year. Maintain BUY,
with our TP unchanged at MYR1.24 (28% upside, 10x 2017F P/E).

Capacity expansion remains on track. For the rest of this year, Evergreen
Fibreboard (Evergreen) intends to focus on rolling out its capacity expansion
progressively. In particular, the new particleboard line at its Segamat plant is to
undergo testing next month. This, upon full commissioning, would double
capacity to 250,000 cu m. Commercial production is to take place by mid-2017.
Concurrently, its proposed ready-to-assemble (RTA) furniture line is being
installed at Evergreen’s Batu Pahat plant. This ought to boost capacity by 33%
to 12,500 cu m by mid-2017. Beyond that, management has completed the
upgrading of its medium-density fibreboard (MDF) line in Hat Yai to boost
productivity by 3-5%. The group is also re-engineering its MDF line in Nilai to
increase its focus on high-moisture resistance boards.

Operational issues in Palembang to be resolved. While management
conceded that its operations in Palembang are still facing bottlenecks due to
limited connectivity. This could be resolved by 2H17 with a new road access to
its factory. In the meantime, water transport remains the only viable option. We
expect utilisation to improve from current levels of 80-85% by 2018.

Forecasts and risks. We make no major changes to our earnings forecasts for
now. Key risks to our earnings include forex fluctuations, volatility in raw
material costs (namely raw logs and glue) and potential delays in proposed
capacity expansions.

Maintain BUY with our TP unchanged at MYR1.24 based on 10x 2017 P/E. We
see Evergreen as a prime beneficiary should the prolonged weakness in the
MYR against the USD persist. We expect earnings to rebound in 2017, as its
ongoing capacity expansion would likely drive earnings to break the MYR100m
threshold. We used DCF (WACC: 11.6%, TG: 0.5%) as a corroborative
methodology and derived a fair value of MYR1.36, which we deem reasonably
close to our revised TP.

wow.. seems like i need to revise my TP from RM3.50 to RM4.00 now.. since the cash flow has also improved so much (not just earning improved)... great!!!

Alex, some ppl sell for locking in some profit.. that is normal... GEshen has gone up quite a bit these few weeks so that is expected. Same thing happens to Airasia too...

results are within expectation, some slight improvement compared to the previous quarter (Q3 2016)... many ppl are expecting it to be better though... but remember that 2015 was a fabulous year for all timber/furniture related companies so pls do not much over-expectation...

for an example, flbhd is also showing less earning in 2016 compared to 2015...

so i think Evergreen's results are very much in-line with my expectation...

more to come on Q1-Q4 2017 results.. stay tuned...

haha.. sxckperformer has become the unanimous enemy of evergreen shareholders now... bcoz of his misleading and manipulated statements... u think those who buy evergreen are stupid and you are smart? haha...

no need talk too much cxck.. we wait and see...

i rather buy an average company with discounted share price (a lot of margin of safety) than buy a good company with expensive share price (whether using DCF or EV/EBIT multiple)

no problem with the fundamentals for this share.. but the directors are not honest ppl and more important, good company with over-priced share is not a good investment... think for yourself...

share price 60sen in 2018? haha.. directors hope so so that he can sell more to you along the way before it even reaches 60sen.. wake up guys...

haha... ppl goreng this share up too much due to the over-expectation... someone calculated the intrinsic value before based on DCF model and it is only worth around 24sen (goreng up to 35sen).. and this is the outcome for the fall...

negative sentiments (while the stock's fundamentals remain intact) give you a great chance to buy at attractive price. as i had mentioned earlier, based on EV/EBIT = 10 ratio, this share is worth around RM2.52. If you are to give some discount to the EV multiple, it is still worth at least >RM2.00.

i agree with you R40s, both Prlexus and Zhulian are fundamentally good shares to hold for mid to long term... same like u , i am still holding them now...

4.00?? haha... too optimistic.. i only aim at 3.50...

haha... stockman is again showing his "KYY-PLP'ing" skill to us... haha

paperplane is right, i dun think the "fake" EPS is sustainable... one-off gain of asset disposal and forex gain... core business (both ethanol and resin business revenue has fallen) are deteriorating...

they are a loser of weak MYR as most of their raw materials are imported while their sales are mainly in Malaysia..

some "super confident" investors here can continue to sing their songs and feel confident with this company but what i said is all fact..

in fact, they closed down a resin subsidiary recently.. and i had mentioned earlier, resin business is very competitive.. many MDF, particleboard, plywood makers are now making their own resin, and they even sell the excessive resin!

do you think their resin business will be sustainable?

and another concern is the new young CEO... do some research urself....

Christiano88, anything u wanna share with us?

go go go RM2.50

directors are buying the shares before the release of results.. haha...

http://www.bursamalaysia.com/market/listed-companies/company-announcements/#/?category=all&sub_category=all&alphabetical=All&company=7197

Invest_168, already broke 2.00 lo... going to 2.50 now ya.. (like u said, haha)

R40s, great to see you again here after the Prlexus forum... r u still holding your Prlexus?
I am still holding tight though i am not making much paper gain now... i think its share price is still much undervalued though the recently announced result was not within expectation.. i believe their growth is still always there...

Bizfuneng u r welcome... let's hope we can get good profit here...

Zhulian is indeed making good earning recovery and their expansion plan is something really exciting... let's see in 1-2 years time.

honestly speaking i am unsure if SUCCESS can repeat the same great result (11-12 sen) every quarter.. but from i can see, i can tell that their SEB has turnaround and become profitable (from making a loss)... so we can expect they will continue to make good profit in future...

RM4.50 maybe a bit too optimistic but i think RM3.50 is definitely achievable.

and idixt like him who does not even understand basic financial fundamentals wants to act and talk like a sifu... that is indeed disgusting...

raider... this idiot sxckperformer is indeed hopeless and there is no cure for him...
since day one he has been acting like a sissy and has no bxlls to look at my questions/explanation.. and still live in his own world singing the same grandma song over and over... i am not sure if he has the "selectively respond" illness or he just pretends he did not see that... pathetic and hopeless fellow...

nice... the price is moving up...
it is pretty obvious that the previous drop was intentionally done by the sharks to enable them to collect at much lower price...

and those who sold to them (especially at a loss) are now crying all the way to the graveyard while these sharks are laughing all the way to the bank...

haha.... hahahahahahaha................. i cant stop laughing.....

if u kneel down before me and beg me, i will give u a basic fundamental class FOC... haha

look at debt alone but dunno how to judge net debt/equity ratio... haha... poor thing

and stxpid fellow even does not understand how short-term debt is defined.. haha.. still stubborn and ppl corrected him... hopeless lo.. really..

and dunno basic fundamentals like free cash flow, free cash flow yield, EV/EBIT, ROIC, etc...

but still act like sifu here.. disgusting right?

go back to ask your kindergarten teacher la wei.... pathetic...

haha... saupei lah sxckeperformer... u r such a kindergarten entry level kind of trader (i dun even brand u as an investor as that is a humiliation to other real investors)...

i dare not mention of Evergreen's debt? I have provided clarifications to your stupxd and misleading info on the debt... yes, the debt is there.. we all know (u think we are as dxmb as u that we can't read that from reports?)... the fact is we are furious bcoz u manipulated your statements and exaggerated the situation to be very negative for evergreen...
the real fact is, the current net debt/equity ratio is still kept very low and healthy..
but u chose to ignore my real statement and continue to sing ur stxpid song...

wise investors can see how well i responded to your stxpid statements..

but until today, u still hide your bxlls somewhere and dare not to even answer to anyone of my questions...

where are your bxlls???

the recent uptrend is indeed beyond my expectation... it is moving really quick...

great... i am now really laughing all the way to the bank... haha

best is to skip guys... up to you though

i am also not quite confident with the new young CEO who has a lot of negative rumors..

at first i saw someone recommended this share so i made a deeper dive into it and found out that there are too many risks and uncertainties with it... and with the recent announcement of results, it completely stops me from making any further move... just my 2 cents..

the hike in share price will not be sustained i think... sell before more ppl find out the fake increase of the EPS